Lary betrayed the trust placed in him by the citizens of Stonecrest by stealing the very funds meant to help his constituents weather the COVID-19 pandemic, said U.S. Attorney Ryan K. Buchanan. ATLANTA Jason Lary, the former Mayor of the City of Stonecrest, has been sentenced for using his elected office to steal hundreds of thousands of dollars in federal COVID-19 relief funds allocated to the city. He then asked the church to give $50,000 back to one of the companies included in the scheme. Former Stonecrest Mayor Jason Lary is met by FOX 5 I-Team Reporter Randy Travis as he walks into the federal courthouse in Atlanta to enter a guilty plea to stealing CARES Act money on Jan. 5, 2022. Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would take a plea deal. U.S. District Judge Thomas W. Thrash sentenced Stonecrest ex-mayor Jason Lary to 57 months in federal prison and ordered him to pay nearly $120,000 in restitution. Later in December 2020 and January 2021, Clarence Boone coordinated with Lary and Lania Boone to use $108,155.52 of relief funds to pay off the mortgage on Larys lakefront home in Macon, Georgia, and used more than $7,600 of relief funds to pay college tuition, a meal plan, books, and rent for Clarence Boones son. ) or https:// means youve safely connected to the .gov website. DEKALB COUNTY, GA The former mayor of Stonecrest pleaded guilty to wire fraud, theft of government funds and conspiracy, reported WAGA-TV. Lary announced his resignation to the city on a Zoom call Tuesday. STONECREST, Ga. - A bookkeeper hired by former Stonecrest mayor Jason Lary has pleaded guilty to conspiracy for her part in a scheme to steal COVID relief funds. Credit: Photo courtesy of Boston College Athletics, Former Stonecrest mayors accomplice pleads guilty to felony, Stonecrest councilwoman among candidates running to replace disgraced mayor, Jahmyr Gibbs: Georgia Tech helped make me who I am today, Georgia Tech closes regular season with win over Boston College. Have a question about Government Services? The former Mayor of Stonecrest Jason Lary pleaded guilty in federal court to stealing COVID-19 relief funds that were supposed to go to struggling businesses. Richard B. Russell Federal Building Stonecrest mayor pleads guilty to federal fraud charges, Former mayor of Stonecrest, bookkeeper plead guilty to theft of COVID-19 relief funds, LIST: Schools across Georgia closing early ahead of possible severe weather, Gallery of storm damage across GA: Send us your photos, videos, Firefighters rescue Cherokee County man buried up to his neck in trench, Excel Church gives despite recovery from fire, Father and 9-month-old daughter reported missing in Clayton County, 26-year-old woman shot while driving in Decatur, Sign up for Atlanta News First Newsletters. None the less, I will continue to serve the people of the great city of Stonecrest.". Lania Boone, a bookkeeper Lary hired for one of companies, admitted to helping the former mayor siphon CARES act money for personal use. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. Boone was the companys bookkeeper and wrote multiple checks to disburse the funds, records show. The relief funds deposited into the Visit Us and Battleground Media accounts were used by Lary to benefit himself and his associates. ATLANTA (AP) A former Georgia mayor will serve nearly five years in federal prison after stealing nearly $925,000 in COVID-19 relief funds that his city handed out. Hardworking people like us, Will Morrell said. And while Lary falsely stated that the $50,000 would be used to assist with home repairs for people who could not afford them due to COVID-19, in reality he used the money for his own purposes, including to pay off his outstanding federal, state, and local tax liabilities. Lary was supposed to be in office until the end of 2023. Deana Timberlake-Wiley, Boones attorney, and federal prosecutors declined to comment. Candidates must pay a $600 qualifying fee. For example, Lary presented a check for $150,000 in relief funds to Church 1, on the condition that $50,000 be given to a company called Real Estate Management Consultants, LLC (REMC). ) or https:// means youve safely connected to the .gov website. Zachary Hansen, a Georgia native, covers economic development and commercial real estate for the AJC. He said he had surgery in late December 2020. The 60-year-old Lary pleaded guilty in January to fraud and theft charges. "I did the best I could do with what we had in place.". The resolution also adopted a funding plan for most of Stonecrests relief funds. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. But he was using it for his own personal needs.. Jason Lary stole more than $650,000 in COVID-19 relief funds meant to help the. A lock ( ATLANTA (AP) A suburban Atlanta mayor pleaded guilty to federal fraud charges a day after announcing his resignation from office. U.S. District Judge Thomas W. Thrash sentenced Stonecrest ex-mayor Jason Lary to 57 months in federal prison and ordered him to pay nearly $120,000 in restitution. and were incurred during the period that [began] on March 1, 2020, and [ended] on December 30, 2020. Examples of eligible expenditures were medical expenses, public health expenses, and grants to small businesses to reimburse the costs of business interruption caused by required closures. For example, Lary used relief funds held by Visit Us to pay for an associates political advertising. Residents will soon get a chance to elect a new mayor in Stonecrest. The plan also provided $5 million to the COVID-19 CARES Act Small Business Program (Small Business Program). Stonecrest mayor charged in alleged misuse of CARES Act federal funds Lary previously pleaded not guilty to the charges, but his attorney, Dwight Thomas, indicated on Nov. 10 that he would. He's been with the newspaper since 2018 and enjoys diving into complex stories that affect people's lives. Jones tried to get a comment from Larys attorney after court, but he refused to make a statement. Father defends terrified family with machete after home intruder breaks through window in middle of night, Paolo Banchero scores 31 points, Magic beat Hornets 117-106. Yet Lary and others asked that these contributions be given not to Stonecrest, but to entities called Visit Us, Inc. and Battleground Media, LLC. Small businesses that applied for financial relief were asked on an application form if theyd be willing to give 25% of the grant to one of three companies to market their business. A bookkeeper and spouse of a former Stonecrest official accepted a plea deal in federal court Friday afternoon for participating in the same fraud scheme that brought down the city's founding mayor. Court documents show he was arraigned on the charges after relief funds expected to be allocated to the Stonecrest Cares Program and Small Business Program never made it to the city initiatives. If the special election for the mayors seat requires a runoff election, it will take place June 21. ", Former Stonecrest Mayor Jason Lary is met by FOX 5 I-Team Reporter Randy Travis as he walks into the federal courthouse in Atlanta to enter a guilty plea to stealing CARES Act money on Jan. 5, 2022. Former Stonecrest mayor pleads guilty to federal fraud charges Former Stonecrest mayor resigns and plead guilty to federal fraud charges. The first is verse 22, "The stone rejected by the builders has become the corner-stone". InJuly 2020, the DeKalb County Board of Commissioners voted to disburse some of the relief funds to its municipalities, including a $6.2 million grant to Stonecrest. The former mayor of Stonecrest and a bookkeeper who administered COVID-19 relief funds to the town pleaded guilty in federal court this month to charges related to the theft of pandemic relief funds. No stone was more important than the cornerstone because the integrity of the whole structure depended on the cornerstone containing . A Georgia Senator said he was unsurprised to hear about the indictment. However, federal authorities said Lary worked behind the scenes with an organization known as Municipal Resource Partners Corporation, Inc. ("MRPC") to disburse the relief funds. Briefs: 11Alives news director goes to Gray; Honey Boo Boos boyfriend arrested; Marlon Woman accused of killing ill husband released from jail, Class 7A: Semifinal coverage from Georgia State, DeKalb volunteers to plant 150 trees during March, Decatur hosts second community meeting on March 2, Atlantas Carter Center preps for future without founder, Photography club captures hope during pandemic, March food and drink events to check out in metro Atlanta. The church was then told to contribute $4,500 to REMC, which officials say the mayor used to pay his own property expenses and dues. 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The Justice Department on Monday released President Trump's clemency order for longtime GOP operative Roger Stone showing the president not only wiped away Stone's prison sentence but also a . 2021 5 Feb. "The stone the builders rejected has become the capstone" ( Psalm 118:22 ). Around October 2021, the United States seized approximately $480,000 of fraud proceeds held in the bank accounts of Visit Us and Battleground Media. The judge says Lary's actions were "deplorable" and rejected a defense request for Lary to avoid prison time. Instead, prosecutors said Lary used the money to cover his own tax liabilities and pay off the mortgage on his lake house. One of the grants was to his church, which he awarded $150,000. I will show you my hairy behind next time it happens and that's the only warning I'm going to give with this.". By clicking Sign Up, I confirmthat I have read and agreeto the Privacy Policy and Terms of Service. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. February 21, 2022 Chris Butler. "If you don't know protocol, you better learn it with me," said Lary. He explained he needs to take some time to work with doctors and care for himself. Up to $10,000 reward now being offered in finding missing Georgia family man in Baton Rouge, Woman shot near DeKalb gas station; police say person cut her off, pulled out handgun, Forecast | Bright sunshine returns for the weekend, Metro Atlanta, north Georgia hit with widespread damage after storms produce powerful winds, Former Stonecrest mayor, bookkeeper plead guilty to theft of COVID relief funds, Ex-Stonecrest mayor pleads guilty to federal fraud charges, Stonecrest mayor, who is facing federal charges, says he will resign. Erskine told the FOX 5 I-Team he is accused of pocketing more than $650,000. Under the CARES Act, the federal government distributed COVID-19 relief funds to individual Americans, federal agencies, and state and local governments, including $125 million to DeKalb County. Lary was also ordered to pay $120,000 in restitution as well. "What the mayor said was unacceptable and does not represent city council," said Mayor Pro Tem George Turner. Instead, Lary spent the money to pay his own property expenses and his dues to the Georgia Campaign Finance Committee. Instead, $108,000 dollars were transferred to pay off the mortgage on a lakefront propertyowned by the former mayor. Federal prosecutors said that in addition to paying off personal debt, Lary conducted a scheme where he asked small businesses and churches to whom he allocated grants to give 25% of the money to companies connected to himself and co-conspirators. 2023 FOX Television Stations. The former Mayor of Stonecrest Jason Lary pleaded guilty in federal court to stealing COVID-19 relief funds that were supposed to go to struggling businesses. Stonecrest was required to spend the relief funds in accordance with the CARES Act. Jason Lary admitted he stole more than $650,000 in CARES Act money that was supposed to help struggling businesses and church. Until a new mayor is elected, the mayors responsibilities will be handled by the mayor pro tem. (Art by Richard Miller). Lary, 60, pleaded. Lary announced his resignation to the city on a Zoom call Tuesday.. The Internet address for the U.S. Attorneys Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga. Jason Lary, 60, of Stonecrest, Georgia, has been sentenced to four years and nine months in prison to be followed by three years of supervised release. This material may not be published, broadcast, rewritten, or redistributed. A judge will have the final say on her sentencing; her conspiracy charge carries a maximum of five years behind bars. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad Choices. Last year the Northern District of Georgia US Attorney's office prosecuted at least 100 people involved in a total of $26 million in CARES Act fraud. The city will hold a special election to select a new mayor. The details of Boones plea deal are similar to the one Lary accepted. The censure stemmed from remarks Mayor Lary made at the end of a council meeting on Sept. 27. The city will hold a special election on May 24 to fill the rest of the mayor's term after the office was vacated by Jason Lary in January. Then, Lary caused the city to enter a contract with MPRC to disburse the relief funds as directed by Stonecrest. Those duties include acting as the figurehead of the city and appointing members to boards and committees. Wilmot said Lary used some of that stolen money to pay off the $108,147 mortgage on his lakefront home in Macon. ATLANTA - Jason Lary, the former mayor of Stonecrest, and Lania Boone, a bookkeeper for the entity that administered COVID-19 relief funds awarded to Stonecrest, have pleaded guilty to. Boone agreed to cooperate with government agents, provide records and testify at future trials. Lania Boone pleaded guilty to conspiracy to commit federal program theft on February 11, 2022. This case was investigated by the Federal Bureau of Investigation. An official website of the United States government. All rights reserved. His sentencing is set for May 2. BREAKING: A bookkeeper and spouse of a former Stonecrest official accepted a plea deal in federal court Friday afternoon for participating in the same fraud scheme that brought down the city's. While I was out on cancer leave, they removed me from every committee I created, refused to pay my car allowance, while paying six figures to the finance director and $209,000 annually to the acting city manager (including a car allowance). Former Stonecrest mayor sentenced to nearly 5 years in prison for stealing COVID-19 relief funds. He then asked the church to give $50,000 back to one of the companies included in the scheme. Attorneys for the Northern District of Georgia, Former Mayor of Stonecrest sentenced to prison for stealing COVID-19 relief funds, https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form, CEO of Atlanta engineering firm pleads guilty to failing to pay payroll taxes, Arizona man pleads guilty to extorting Georgia Tech, Georgia woman charged with stealing over $450,000 in government and retirement benefits, Former Mayor of Stonecrest Sentenced To Prison For Stealing COVID 19 Relief Funds. Learn about careers at Cox Media Group. Jason Lary was accused of stealing more than $650,000 in COVID-19 relief funds. In Larys guilty plea, he admitted to making sure that Boone was hired as Municipal Resource Partners bookkeeper. The City Council voted Monday to set the election date, determine qualifying information and formally ask ask the DeKalb County Board of Registrations and Elections to run the election. Prosecutors said the 59-year-old former mayor concocted a scheme to divert funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act. In total, businesses were defrauded out of hundreds of thousands of dollars of relief funds. Sandra D. Smith has been arraigned on federal charges of wire fraud and theft of government funds. ATLANTA - Clarence Boone, the former Senior Economic Development Manager of Stonecrest, pleaded guilty to conspiring with his wife, Lania Boone, and the former Mayor of Stonecrest, Jason Lary, to steal pandemic relief funds intended to support small businesses in Stonecrest.